Helios Technologies is upgraded to a soft "Buy" as recent financial results and management's growth outlook improve the risk-reward profile. HLIO's Electronics segment drove strong 2025 results, with revenue up to $298.2 million, while Hydraulics showed modest growth aided by an extra sales week. Management projects flat revenue but higher profitability for 2026, targeting $170.1 million EBITDA and $2.60–$2.90 adjusted EPS.
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Helios Technologies remains a buy as growth drivers have become more tangible, notably from successful GTM strategy execution and data center liquid cooling exposure. HLIO's revamped go-to-market strategy is yielding results, evidenced by $60 million in new business wins and double-digit year-over-year order growth for ten consecutive months. Data center opportunities are now clearer, with tested liquid cooling products, a dedicated supply chain, and potential expansion into energy storage applications for AI infrastructure.
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Helios Technologies (HLIO) reported earnings 30 days ago. What's next for the stock?
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Helios Technologies, Inc. (HLIO) Analyst/Investor Day Transcript
Helios trades above peers and its history, with a premium multiple signaling markets are pricing in recovery and raising the bar for execution.
HLIO bets on new products, cross-sell and funnel growth to drive 2026 gains, but execution, tariffs, and customer concentration pose key risks.
Helio heads into 2026 with firm orders, rising margins and stronger demand, but a tougher second half and execution risks could test momentum.
Helios Towers delivered strong FY25 results, surpassing guidance with 8% sales and 12% adjusted EBITDA growth, but shares fell on a higher 2026 CAPEX outlook. Capex is expected at $160–190m compared to $180m last year, weighing on near-term FCF but supporting future network expansion. Helios Towers' deleveraging, improved credit ratings, and successful bond tendering reduced net leverage to 3.4x and eliminated dilution risk.
Dynamic Technology Lab Private Ltd cut its position in shares of Helios Technologies, Inc (NYSE: HLIO) by 75.7% in the third quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 5,410 shares of the company's stock after selling 16,890 shares during the quarter. Dynamic Technology